American financial powerhouse Cantor Fitzgerald is partnering with Japanese investment giant SoftBank and stablecoin issuer Tether to launch a massive new crypto investment vehicle dubbed 21 Capital. This ambitious initiative is anchored by a $3 billion Bitcoin (BTC) fund, signaling growing institutional confidence in the digital asset space.
According to the Financial Times (April 23), Cantor Chair Brandon Lutnick—son of U.S. Commerce Secretary Howard Lutnick—plans to mirror the success of corporate Bitcoin strategies like those of MicroStrategy. The investment is structured around a SPAC named Cantor Equity Partners, which raised $200 million earlier this year and is heading for a public listing.
The breakdown of the $3B BTC fund includes:
- $1.5 billion in Bitcoin from Tether
- $900 million from SoftBank
- $600 million from Bitfinex (which shares a parent company with Tether)
In addition to the BTC seed, 21 Capital will raise a $350 million convertible bond and a $200 million private equity placement to acquire even more Bitcoin. The combined investment strategy positions the fund to benefit from the growing momentum in the crypto market.
Eventually, the BTC holdings will be converted into equity in 21 Capital at $10 per share, valuing the fund’s Bitcoin assets at a bullish $85,000 per BTC.
This move marks the first in what could be a series of SPAC-led crypto deals spearheaded by Cantor Fitzgerald, per sources cited by the FT.
With institutional demand surging and Bitcoin recently surpassing $93,000, this $3B BTC fund launch reflects a broader trend: traditional finance giants are now making big bets on Bitcoin.
